ASX / MEDIA ANNOUNCEMENT Monday 30 July 2018 JUNE 2018 QUARTERLY ACTIVITIES REPORT Minerals on track to become a major global lithium producer with the Pilgangoora plant commissioning underway, first concentrates produced, and first DSO shipped to China; Stage 2 DFS nearing completion, supported by substantial resource upgrade.

HIGHLIGHTS Production • Successful on-time commencement of first fines spodumene and tantalite production as part of the initial concentrator commissioning process. Pathway to full production clear and commissioning on track. • First shipment of 85,000 wet metric tonnes of Pilgangoora Direct Shipping Ore (“DSO”) shipped to China by Atlas Iron Limited (“Atlas Iron”) pursuant to the Company’s DSO Sale Agreement with Atlas Iron; 145,974 wet metric tonnes of DSO sold to Atlas Iron during the Quarter with DSO operations on track to sell ~100,000 wet metric tonnes of DSO per month for a total of up to 1.5Mt. Project Development • Construction of the Stage 1 (2Mtpa) concentrator largely completed. • Commissioning of the crusher and wet commissioning of the concentrator commenced and progressing according to plan. • Stage 2 (5Mtpa) expansion Definitive Feasibility Study (“DFS”) set for completion in the coming weeks, paving the way for funding and a final investment decision in Q3 CY2018. Exploration • 36% increase in tonnage and increase in grade to the Pilgangoora Mineral Resource now comprising 213 million tonnes grading 1.32% Li2O (spodumene) and 116 ppm Ta2O5, containing 2.82 million tonnes of lithium oxide and 54.6 million pounds of Ta2O5. • Early exploration works commenced at Mt Francisco subsequent to the Quarter-end, following receipt of regulatory approvals and execution of land access and heritage agreements. Corporate • Funds totaling US$5.3M received from Atlas Iron for DSO sales under the DSO Sale Agreement, inclusive of a US$3M prepayment. • Second draw-down completed under the US$100M senior secured bond issue, following satisfaction of a cost- to-complete test. • Unrestricted cash balance as at 30 June 2018 of A$120M (31 March 2018: A$134.7M).

Ken Brinsden, ’ Managing Director and CEO said: “This has undoubtedly been a landmark period in the Company’s history, with the on-time production of our first spodumene and tantalite concentrates from the Pilgangoora Project and the first cash-flow generated through the maiden shipment of Direct Shipping Ore from Port Hedland under our mine gate DSO Sale Agreement with Atlas Iron. “Commissioning of the Pilgangoora concentrator is now well underway and making good progress with first concentrates being produced. This confirms Pilbara Minerals is firmly on track to becoming a significant low- cost supplier of lithium raw materials as we complete commissioning and ramp-up production over the remainder of the year,” he added.

1. OVERVIEW

Australian lithium developer, Pilbara Minerals Limited (ASX: PLS) (“Pilbara Minerals” or “the Company”), is pleased to advise that the quarter ended 30 June 2018 (“Quarter”) has been a pivotal period for the Company, with the commencement of plant commissioning and the production of first spodumene and tantalite concentrate from its 100%-owned Pilgangoora Lithium-Tantalum Project in Western (“Project” or “Pilgangoora Project”). Reflecting on the Project’s development to date, Pilbara Minerals’ Managing Director and CEO, Ken Brinsden, acknowledged the efforts of the team in delivering a fully funded world class project on time. “The rapid completion of construction on site and the delivery of all outstanding elements of the Project on-time reflects a remarkable effort by the entire Pilbara Minerals’ team, as well as by our engineering and contracting partners including MACA, CSI, RCR Resources and their sub-contractors. Constructing a new large-scale mine an